An Understanding of What Equity in Crypto Means

Whether you just joined the crypto industry or have been in the industry for a long, you would always want to know the value of your holding in the crypto market, just as someone who invested in the shares of a company.

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Equity in the crypto industry does not differ from equity which is used to describe the ownership of the value of an asset like shares, real estate investment, bonds, or stock that you have in a company. In this post, we will discuss more about equity in cryptocurrencies like STEEM.

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Equity in Crypto

Equity in crypto simply means the value of an individual holding cryptocurrency. As we said earlier we will be using STEEM coin in our discussion. Let's get it clear and easy now viewing equity in STEEM.

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Equity in STEEM means the total value of an individual's holding of STEEM coin. It means equity is the difference between the total value of your holding in Steem and any obligation.

Also, equity can be viewed as the net value of an individual STEEM holding after taking into account the liability that is linked to the individual holding.

Crypto equity is very similar to traditional equity. In terms of traditional equity like stock market, bond, real estate and the rest of themequity means the total value of an individual shares in a company the individual has invested in.

On the other way crypto equity, means the total of an individual holdings in a certain cryptocurrency. In the case of crypto equity, it is not fixed as cryptocurrency is subjected to volatility which can easily rise or fall at any time.

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How to know your equity in crypto

Knowing your equity in crypto is very important as it will help you to know the value of your investment in the crypto industry so you can make better decisions when it comes to buying, selling, or holding cryptocurrency.

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For you to know your equity in cryptocurrency you must know how to calculate equity which is very easy to calculate. To calculate equity, all you have to do is subtract the amount of outstanding liability, such as the coin you borrow or that which is not yours from the total value of the cryptocurrency that you have.

To know your equity in STEEM you will need to calculate your total STEEM holdings, which can be found in your steem wallet or crypto exchange platform.

To do this, you will need to determine if you have any outstanding liabilities like debts or loans that are related to your investment in Steem. Now, subtracting your outstanding liabilities from the total value of your STEEM holding will give you your total equity in STEEM.

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Conclusion

_{Equity in cryptocurrency is what we have learned in this post, which is a way of knowing the value of your cryptocurrency holding. Note that whatever we have learned here is not In any way an investment advice, but stands as educational content.}

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